The Seoul Metropolitan Government (SMG) has plans to provide support for small businesses preparing to start or close their business due to the prolonged COVID-19 pandemic, while considering their life cycle from entry (startup) and growth (performance improvement) to re-start phase (business closure).
Any citizen who wants to start a business can receive support, and the entire process is free of charge. In particular, support will be provided to 1,270 small businesses, an increase by about 60% compared to the previous year, by expanding the scale of the support for facility improvement cost for small business owners suffering from COVID-19.
Firstly, the goal of the entry phase that supports soon-to-be entrepreneurs is to minimize the possibility of failure through a prepared start-up. The key is to build their solid foundation by providing comprehensive support, including start-up consulting, training, mentoring and funding. In addition, businesses will receive startup support of up to KRW 50 million after the completion of start-up consulting and mentoring by successful senior small business owners.
Secondly, what matters in the growth phase is to provide customized performance improvement support. It provides customized consulting based on the detailed analysis of small businesses’ management and operational status, and also offers funding for facility improvement. Facility improvement funding can be used to improve the business environment, such as sign replacement, painting and renovations, or to replace old equipment, such as tables and refrigerators.
Finally, the re-start phase is about supporting small business owners who are inevitably preparing to close their business so that they can resume economic activities after closure. Store-type small businesses with more than six months of business experience that have closed or are expected to close this year are eligible for this support.
Detailed information and schedules related to the support by life cycle are available on the Seoul Credit Guarantee Foundation’s small business support portal (www.seoulsbdc.or.kr).